Tuition Reimbursement
Embed This Widget
Add the script tag and a data attribute to embed this widget.
Embed via iframe for maximum compatibility.
<iframe src="https://salaryfyi.com/iframe/glossary/tuition-reimbursement/" width="420" height="400" frameborder="0" style="border:0;border-radius:10px;max-width:100%" loading="lazy"></iframe>Paste this URL in WordPress, Medium, or any oEmbed-compatible platform.
https://salaryfyi.com/glossary/tuition-reimbursement/Add a dynamic SVG badge to your README or docs.
[](https://salaryfyi.com/glossary/tuition-reimbursement/)Use the native HTML custom element.
An employer benefit that pays for part or all of an employee's education expenses, including tuition, books, and fees, often in exchange for a service commitment.
## Tuition Reimbursement
Tuition reimbursement programs pay for employees' continuing education, professional development, or degree programs.
### US Tax Treatment
Under Section 127, employers can provide up to $5,250 per year in tax-free educational assistance. Amounts above this threshold are taxable income to the employee.
### Common Program Features
- Annual cap: $5,250–$20,000+ per year.
- Grade requirement: Typically B or C minimum.
- Relevance: Must be related to current role or company-approved.
- Service commitment: 1–2 years post-completion (with prorated repayment if leaving early).
- Reimbursement vs. upfront payment: Some programs pay tuition directly; others reimburse after completion.
### Notable Programs
| Company | Program |
|---------|--------|
| Amazon | Career Choice ($5,250/year, select programs) |
| Starbucks | 100% tuition for ASU online bachelor's |
| Deloitte | $10,000/year for approved programs |
| PwC | $1,200/year + CPA exam support |